| |
| Borrower | Country World Casinos, Inc. - in bankruptcy | |
| Loan | A $2,650,000 - three-year loan with interest at 15% for the first year (paid in advance), and 24% for the second and third years. A further subordinated $2,350,000 was supplied by a group headed by the CEO of the borrower.The loan was approved by the bankruptcy court. | |
| Collateral | A first mortgage lien on 2.3 acres of land approved for a gambling casino in Black Hawk, Colorado and 1.6 acres of hillside behind the casino. The land has been leveled in anticipation of the construction of a huge casino. | |
| Guarantors | Holly Products, Inc. (NASDAQ- HOPR), the borrower's owner. | |
| Purpose | The Borrower kept control of the site, which would otherwise have been lost. The borrower is planning to build an 80,000 square foot casino. It will be one of the largest casinos in Colorado, and will have 1000 slot machines, 32 blackjack tables, and 15 poker tables. | |
| Exit strategy | The borrower planned to repay us from re-financing proceeds when it obtained construction finance. | |
| Outcome | The loan was re-financed after two and a half years. |
© Pubsy.com - all rights reserved
Textures courtesy of the Absolute Background Texture Archive